Article Summary:

Here is a collection of Forex News Updates, Other Forex Trading System Resources and Information.The market’s attention has re-focused on the problems in the Euro zone and the shared currency looks ready to re-test lows near 1.40 vs. USD.  Growth is slowing in the Euro zone as evidenced by today’s lower PMI figures, but the major roadbloacjk is the continued saga


Article Content:
The market’s attention has re-focused on the problems in the Euro zone and the shared currency looks ready to re-test lows near 1.40 vs. USD.  Growth is slowing in the Euro zone as evidenced by today’s lower PMI figures, but the major roadbloacjk is the continued saga that is the debt crisis.

The political backlash taking place in Germany has the possibility to prevent the expanded EFSF deal that was agreed to in principle on July 21st from being ratified at the end of the month.  Next week, the German courts will render a decision on the constitutionality of Germany’s role in the bailouts so this may not even reach a vote if deemed illegal.

Meanwhile, bond yields in the periphery countries continue to rise so if the EFSF deal cannot be voted on and agreed to, then the Euro may have a hard time surviving in its current form.  So there are major risk headwinds in the market, and that is being reflected in price action to the downside.

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